
What is job evaluation?
Job evaluation can be defined as “a
systematic procedure designed to aid in
establishing pay differentials among
jobs…”1
__________
Compensation: Milkovich, George T. and Jerry M. Newman; BPI/Irwin, 1990; p. 103.
1
There are four major methods of job
evaluation: ranking, classification, factor
comparison, and point plans. The
University uses the Hay Guide Chart©
Profile Method of job evaluation for
administrative, professional, and
technical jobs.
The Hay method of job evaluation is
generally understood to be a point
plan, although Hay itself does not
define the guide chart-profile method
as a variation of the point method.
At least one current text lists the Hay
method as a fifth major method of job
evaluation of its own.

Ranking
Ranking simply orders the job
descriptions from smallest to largest
based on the evaluator’s perception
of relative value or contribution to the
organization’s success.
› Alternate Comparison (Hi – Lo)
› Paired comparison: [n * (n-1)] / 2

Ranking
Only workable for a small organization
with very few different jobs.
Depends on evaluator consistency –
perspectives change over time.

Classification
Job descriptions are slotted into a series
of classes that cover the range of jobs.
Each class has a definition. These
definitions are the standards against
which the jobs are compared.

Classification
Example:


GS-5 includes all classes of positions the duties of
which are (1) to perform, under general
supervision, difficult and responsible work in
office, business, or fiscal administration…
GS-9 includes all classes of positions the duties of
which are (1) to perform, under general
supervision, very difficult and responsible work
along special technical, supervisory, or
administrative experience…

Factor Comparison
› Jobs are compared against other
jobs on the basis of how much of
some desired factor they possess.
› Each job’s factors are ranked
against each other job’s factors.
› The market pay rate for each job is
then allocated among the factors
based upon a market pay rate
scale.

Factor Comparison
Very complex and requires total
rework each year to determine the
market pay rates.
Can perpetuate equity issues from the
market.

Point Method
These systems have three common
characteristics:
› Compensable elements
› Factor degrees are numerically scaled
› Weights reflecting the relative importance of
each factor

Point Method
Compensable elements are those
characteristics in the job (not the person)
that the organization values, that help it
pursue its strategy and achieve its
objectives.

What is Hay?
Officially known as the Hay Guide ChartProfile Method of Job Evaluation©, this
system utilizes three factors to arrive at a
job’s evaluation. The job’s content is the
sole basis for the job evaluation.
The three factors are:
› Know-How
› Problem Solving
› Accountability
The Hay guide charts have been in
existence since 1951 and have been
used in over 5,000 different
organizations worldwide. Interestingly ,
the Equal Pay Act of 1963 uses “skill,
effort, responsibility, and working
conditions” as the factors upon which
equal work should be determined.

How are jobs evaluated using the
Hay System?
Job description questionnaires are
completed and signed by the jobholder,
the supervisor, and other managerial
staff who have responsibility for the
position.
2. The job description questionnaire is given
to each member of the job evaluation
committee for his/her initial evaluation.
1.

How are jobs evaluated using the
Hay System?
The committee meets with the jobholder
and supervisor to explore questions and
clarify content.
4. The committee members then compare
their individual evaluations and resolve
differences that might exist.
3.
Name
Department
Category
karim
Human Resources
Administrative
Irene Ferguson
Dean of Students
Administrative
Susan Higgerson
Kent Library
Professional
Doug Richards
Public Safety
Administrative
Jim Settle
Residence Life
Administrative
Anna Tripp
Telecommunications
Professional
Alissa Vandeven
Human Resources
Professional

KNOW-HOW
The sum total of every kind of skill,
however acquired, needed for
acceptable job performance.

KNOW-HOW
This sum total which comprises the
overall “fund of knowledge” has three
dimensions – the requirements for:
› Practical procedures
,
specialized techniques, and learned
disciplines.
› Active, practicing skills in the area of
human relationships.

KNOW-HOW
› Know-how of integrating and harmonizing
the diversified functions involved in
managerial situations (operating,
supporting, and administrative). This
know-how may be exercised
consultatively as well as executively and
involves in some combination the areas of
organizing, planning, executing,
controlling, and evaluating.

PROBLEM SOLVING
The original “self starting” thinking
required by the job for analyzing,
evaluating, creating, reasoning, arriving
at and making conclusions. To the
extent that thinking is circumscribed by
standards, covered by precedents, or
referred to others, problem solving is
diminished and the emphasis
correspondingly is on know-how.

PROBLEM SOLVING
Problem solving has two dimensions:
› The environment in which the thinking
takes place.
› The challenge presented by the thinking
to be done.

ACCOUNTABILITY
The answerability for an action and for
the consequences thereof. It is the
measured effect of the job on end
results. It has three dimensions in the
following order of importance:
› Freedom to Act – the degree of personal or
procedural control and guidance the
jobholder has.

ACCOUNTABILITY
› Job Impact on End Results – ranges from
direct to indirect impact on end results by
auxiliary, contributory, shared, or primary
effects.
› Magnitude – indicated by the general
dynamic dollar size or accountability
area(s) most clearly affected by the job.

What steps are taken to assure that
the job evaluation process is fairly
applied?
Hay periodically retrains the members
of the job evaluation committee. A
consultant comes to campus,
spending a day with the committee
discussing the appropriate use of the
guide charts and the process of
evaluating jobs.

What role does Hay play in
determining salaries?
The role of the Hay job points is to
provide the relative comparisons about
which the salary policy line can be
constructed. In essence, the Hay points
represent our link to the salary
information developed through survey
responses.

What role does Hay play in
determining salaries?
By using linear regression, a pay policy
line is constructed which determines
salary range midpoints. Our pay ranges
are 50% deep. The decision that a pay
range will be 50% deep is purely an
administrative decision that has nothing
to do with the Hay system.

What role does Hay play in
determining salaries?
Once a job is evaluated and the salary
for the jobholder is set, Hay has little to
do with affecting the ongoing salary of
the jobholder unless the job’s evaluation
is changed.